N.Y. General City Model 772/66 § 121: Accounting periods and methods

§ 121. Accounting periods and methods. (a) Accounting periods.--A

taxpayer's taxable year under this title shall be the same as the

taxpayer's taxable year for federal income tax purposes.

(b) Accounting methods.--A taxpayer's method of accounting under this

title shall be the same as the taxpayer's method of accounting for

federal income tax purposes. In the absence of any method of accounting

for federal income tax purposes, unincorporated business taxable income

shall be computed under such method as in the opinion of the director of

finance clearly reflects income.

(c) Change of accounting period or method.--(1) If a taxpayer's

taxable year or method of accounting is changed for federal income tax

purposes, the taxable year or method of accounting for purposes of this

title shall be similarly changed.

(2) If a taxpayer's method of accounting is changed, other than from

an accrual to an installment method, any additional tax which results

from adjustments determined to be necessary solely by reason of the

change shall not be greater than if such adjustments were ratably

allocated and included for the taxable year of the change and the

preceding taxable years, not in excess of two, beginning after January

first, nineteen hundred sixty-six, during which the taxpayer used the

method of accounting from which the change is made.

(3) If a taxpayer's method of accounting is changed from an accrual to

an installment method, any additional tax for the year of such change of

method and for any subsequent year which is attributable to the receipt

of installment payments properly accrued in a prior year, shall be

reduced by the portion of tax for any prior taxable year attributable to

the accrual of such installment payments, in accordance with regulations

of the director of finance.